Actions against Companies that Do Not Abide by Competition Commission's Directions

Mr Chua Kheng Wee Louis asked the Deputy Prime Minister and Minister for Trade and Industry whether the Competition and Consumer Commission of Singapore has recourse against companies that do not abide by its directions for mergers that are deemed to be anti-competitive and the maximum penalties that may be imposed in such cases.

Under the Competition Act 2004, the Competition and Consumer Commission of Singapore (CCS) can issue legally binding directions to prohibit, dissolve or modify anti-competitive mergers and impose a financial penalty on the merger parties where warranted.

In the event of non-compliance with a merger direction issued by CCS, CCS may apply to register the direction with the Courts. Any person who fails to comply with a registered direction may be in contempt of court. The Court will apply the usual sanctions for contempt of Court and may impose a fine not exceeding $20,000 or imprisonment for a term not exceeding 12 months, or both.